Will military pensions be increased in October 2020: latest news on indexation

1. Military pension calculator.
2. Second pension for military pensioners

Russia's global pension reform has affected almost all categories of citizens, including military retirees. Based on the fact that the growth of military pensions directly depends on the growth in the pay of military personnel, one cannot expect a significant increase in the next 3 years. Over the past 5 years, indexation of wages has not been carried out, but, as A. Siluanov notes, indexation of 4% is included in the budget for subsequent years. This norm is regulated by the draft law “On the Federal Budget for 2020 and for the planning period of 2020 and 2020.”

The legislative framework

The determination of persons who may qualify for a military pension and the calculation of payments is regulated by:

• Federal Law No. 4468-1 dated February 12, 1993;
• Government Decree No. 941 of September 22, 1993

Reference! Retired military personnel receive benefits from the budget of the Ministry of Defense, and not from the Russian Pension Fund.

Employees of law enforcement agencies and equivalent persons who:

• served more than 20 years;
• have a combined total experience of 25 years, of which at least 12.5 years are in law enforcement agencies.

The size of the military pension is tied to income in the army and depends on many components:

• the rank in which the serviceman retired;
• length of service;
• participation in hostilities:
• presence of disability.

Rice. 1. Military pensioner

Article 49 of Federal Law No. 4468-1 determined the procedure for indexing the pay of retired military personnel, on the basis of which the pension should increase following the growth in the income of active military personnel, and the reduction factor should increase annually by 2%.

However, in 2012, on the basis of Federal Law No. 306, this procedure was changed, and the indexation of payments to retired military personnel was frozen for the next 6 years.

The moratorium on increasing allowances was lifted on the basis of Government Resolution No. 1598 of December 21, 2017.

Will military pensions increase from October 1, 2020?

This is not the first time the question of abolishing indexation has been raised. The security forces' hopes for an increase in payments in October 2020 did not materialize, but the government promised to return the bonuses in 2020.

The proposal to index payments in October 2020 was also withdrawn from consideration, as the deadlines for increasing the salaries of active military personnel were shifted.

Initially, it was planned to increase the allowances of military personnel in October 2020. But the redistribution of budget funds made it possible to do this in January of this year. Since pensions are directly tied to the salaries of military personnel, it was decided to index payments in this category also at the beginning of the year.

The program was scheduled to begin in April 2018, but after much debate the deadline was pushed back to February.

However, by order of Russian President V.V. Putin, the increase in military pensions in 2020 was postponed to January to synchronize payments, for which the corresponding funds were allocated at the end of 2020. Details in the video:

As a result, the increase in pension accruals for former military personnel amounted to 4%. To ensure the Presidential Decree regarding the provision of military personnel and pensioners, 38.6 billion rubles were allocated.

Since indexation was carried out at the beginning of the year, there will be no second increase in military pensions in 2020. Pensioners should not count on certain changes in October, since the government announced a program providing for an annual increase in payments by 4% for 3 years, and the limits for the current year have already been selected.

The expected news of the beginning of 2020 for Russian pensioners is the next annual indexation of pension payments . Traditional event dates:

• February 1 for insurance benefits;
• April 1st for social.

The increase in pension benefits in 2020 will occur earlier than planned . Minister of Labor and Social Protection Maxim Topilin announced that there will be an increase in pensions from January 1, 2020 . The reason given for this is the need to make real increases and improve the well-being of Russian citizens as early as possible. This is due to the fact that indexation will not depend on inflation for 2020, since the budget includes funds to increase the more predicted price growth.

Who will have their pension increased in January 2020 and by how much? This increase will affect citizens who are recipients of insurance payments and do not work. The increase will be 3.7% in accordance with the expected inflation rate at the end of 2020 (currently, the forecast for the growth rate of the cost of products and services has been reduced to 3.2%).

How the main components will change in price:

• The IPC will increase from 78.58 rubles to 81.49 rubles ;
• The size of the fixed part will increase from 4805.11 to 4,982.9 rubles ;
• The average insurance payment in the country will increase from 13,700 to 14,000 rubles (for old age), from 8,400 to 8,700 (for disabled people) and from 8,600 to 8,900 (for loss of a breadwinner).

From January 1, 2020, pensions will increase only for recipients of insurance benefits; recipients of social benefits will have to wait until April 1 for an increase of 4.1% . The average sizes will change as follows:

• Social from 8,700 to 9,045 rubles ;
• For disabled children from 13,000 to 13,699 rubles .

On November 30, 2020, Dmitry Medvedev, answering questions from journalists, said that increasing pensions is a priority for the state.

“If we talk about pensioners, then, of course, the main task here is to increase pensions. What we faced some time ago was the challenge of indexing pensions in line with inflation or even above inflation. But, in fact, we have now ensured this,” Medvedev said, speaking about the support of various groups of Russians.

The Prime Minister also indicated that pensions will be indexed in full from January 1, 2020 - there is money for this.

“I want to officially say absolutely on behalf of both the government and the Pension Fund. In this sense, everything is in order in the Pension Fund, there is money to pay pensions in full, and there will be no problems at all. There won't be any problems"

Pensions in 2020 will be indexed above the inflation rate:

“We proceed from the need to pay pensions and index them next year not even in February, but in January. And this indexation will be clearly higher than inflation"

Increase in social pensions from January 1, 2020

The date for the annual increase in state pensions is April 1 . The increase in social pensions in 2020 for disabled people, children and old-age pensioners will be carried out within the same period once. The changed pension amount will be transferred from the beginning of the month.

The size of the increase is set by the Government annually based on the growth rate of the cost of living. In 2020, it was adopted in the amount of 1.041, that is, the increase in security will be 4.1% .

The basic size of the social pension until April 2018 is 5034.25 rubles , after which it will increase to 5240.65 rubles . We present the content for various categories of recipients in the form of a table:

An increase in the social pension in 2020 will lead to its increase in average terms to 9,045 rubles , for disabled children - 13,699 rubles .

The value of the individual pension coefficient in 2018

After the reform of the pension system, which took place in 2020, the individual pension coefficient . The number of IPCs reflects the amount of employer insurance contributions for an employee, converted into pension points.

The minimum IPC amount that a future pensioner must earn is 13.8 points . In subsequent years, it will gradually increase to 30 (by 2025). If the pensioner does not reach the required number, then the pension will be denied. However, the maximum number of points that can be earned per year is limited:

• 8,26 in 2020.
• 8,7 in 2020.

The size of the IPC is also subject to change. Indexation will take place on January 1 at the budgeted rate of 3.7%. As a result, the cost of an IPC in 2020 per point will increase to 81.49 rubles . Already assigned benefits will be recalculated in accordance with the new values, and new ones will be accrued taking it into account.

How much will the fixed payment be indexed from January 1

The second constant value involved in the pension calculation formula is a fixed payment. This is a legally established amount of funds accrued to all types of insurance pensions. Only military pensioners who are entitled to receive second security do not receive it.

The fixed pension payment in 2020 will also be increased on January 1 by 3.7%. Its basic size after the increase will be 4982.9 rubles . The peculiarity of the assignment is that it may vary depending on the type of pension or category of the recipient.

The increase in payment is due only on one of the grounds, that is, a group 1 disabled person who has turned 80 years old will continue to receive a pension in the same amount, since the fixed payment has already been increased to the maximum possible amount.

The fixed payment in 2020 also serves to calculate the additional payment for a pensioner's dependent . Its size is defined as 1/3 of the base value:

1. 1661 rubles for one.
2. 3322 rubles for two.
3. 4982 rubles for three. A larger number of disabled people is not taken into account.

Increasing social benefits for pensioners

To some types of security, social payments are additionally established in 2020 in the form of a monthly cash supplement and a set of social services. Their recipients are disability pensioners, veterans, Chernobyl victims and a number of other special categories. The size of the EDV for each of them is different, and the NSO has a single cost and a list of services in kind.

On October 24, 2020, a Government decree was published, which defined a unified procedure for indexing social benefits , the need for which was outlined by Vladimir Putin. According to the bill, the indexation of social benefits will take place on February 1, 2018 , and its amount will be equal to inflation over the past year. According to forecasts, this value will be 3.2% , and at the end of the year it can be adjusted up or down.

The increase in social payments in 2020 will affect the amount of basic payments, which will be:

Will there be a one-time payment of 5,000 rubles to pensioners in 2018?

In 2020, the procedure for indexing pensions was changed due to a shortage of budget funds and problems in the country’s economy. On February 1, pension payments were indexed by only 4%, despite the fact that inflation for 2020 was 12.9%. Pre-indexation of collateral was scheduled for October, but was never carried out.

To compensate for this difference, the Government decided to provide pensioners with a one-time payment of 5,000 rubles . At the same time, it could be obtained once, and did not participate in further indexing. The amount of compensation was calculated based on the average pension multiplied by the coefficient of increase, which was not carried out. Simply put, pensioners would receive exactly 5,000 rubles in the case of the usual indexation procedure, having a pension of 13,000 rubles.

The payment was transferred in January 2020 along with the basic pension for all pensioners, which included both working and military pensioners. Only pensioners with low income could feel the benefit from it, and only in the short term. For the rest, the payment did not cover the income from indexation. one-time payment to pensioners in 2020 .

Indexation in 2020 will be carried out in full, the costs for it have already been included in the budget, so the question of whether there will be a lump sum payment to pensioners in 2018 is no longer relevant. The increase in pension benefits will be 3.7% from January 1 for recipients of insurance payments.

Latest news about raising the retirement age in 2018

The retirement age in Russia is one of the lowest in the world. Current standards were introduced during the Soviet era in 1932 and are 55 years for women and 60 years for men.

In 2020, no changes in this area are expected for most retirees. civil servants are subject to an increase in the retirement age , for whom there is a gradual increase over six months. The retirement age in Russia from 2018 for men holding government positions will be at least 61 years old, and for women - 56 years old . The final figures will be 65 and 63 years, respectively.

Current Bloomberg statistics for 2020 show an aging population with 2.4 working people per retiree, which is extremely low. That is, there are more people disabled by age than workers, and therefore pension provision is only 34% of wages before going on vacation.

To change the current situation and improve the standard of living of pensioners, government officials are introducing bills to increase the retirement age of citizens.

• On September 1, 2020, the deputy head of United Russia, Andrei Isaev, proposed adding to the list of industries whose workers would retire in the same way as civil servants: the age and promotion procedure are the same. However, Isaev did not indicate a list of such positions.
• On February 1 , 2020, a number of media outlets published information about the final decision of the Cabinet of Ministers to increase the retirement period.
• Former Finance Minister Alexei Kudrin made similar proposals several times. On January 13, he introduced a draft law to raise the age to 63 and 65 years (for women and men). According to recent news , on November 16, 2020, he also stated that there are no alternatives to this measure, and the government will have no other choice.

All these statements and proposals were rejected and refuted by the Ministry of Finance and the Ministry of Labor. They noted that the question of whether the retirement age will increase in 2020 or subsequent years will not be discussed in the government in the coming years.

Will pensions for working pensioners be indexed in 2018?

Working pensioners will no longer have to wait for indexation. For them, a moratorium on indexing pension payments during employment will be maintained.

Let us remind you that the indexation of pensions for retired working citizens has been suspended since 2020. The reason given was the difficult situation in the Russian economy. For example, the abolition of indexation for working pensioners in 2020 helped the country’s budget save 12 billion rubles.

The increase in pension payments for employed pensioners occurs only due to recalculation on August 1 . During this period, the calculation includes data on pension coefficients earned over the past year. In 2020, pensions increased from 74 to 222 rubles , depending on the number of points earned.

It is worth noting that such growth cannot in any way be compared with the growth in pensions of non-working persons. This means that the pension benefits of working retirees are devalued and fall in purchasing power.

Currently, a working pensioner can receive 1-3 points per year. The abolition of this restriction is currently being actively discussed. Thus, for the bulk of the working population, another restriction has been established - you can earn no more than 8.26 points per year.

Increasing the minimum wage and increasing the amount of insurance contributions to the Pension Fund

The minimum wage is established by labor legislation, Article 133. From July 1, 2020, the minimum wage is 7,800 rubles , which is less than 70% of the subsistence level for the working population for the 2nd quarter of 2017.

The law on increasing the minimum wage to the minimum wage was introduced by the Government of the Russian Federation in early September. The decision on whether there will be an increase in the minimum wage in 2018 has not been adopted by law; on November 8, approval was passed at a meeting of the State Duma only in the first reading. The changes involve a gradual equalization of these quantities:

• 0,85 from PM in 2020;
• 1 rep max in 2020.

In this case, the cost of living will be taken for the second quarter of the previous year. Next year, the minimum wage from January 1 should be:

11163 * 85% = 9489 rubles.

What the size will be in 2020 will become known after the publication of the PM for the 2nd quarter of 2020.

In addition to the employee’s salary, the minimum wage affects the calculation of some compensation and social benefits, for example:

• minimum payment for sick leave due to illness or pregnancy and childbirth.
• benefits for caring for a disabled child.
• Until January 1, 2020, individual entrepreneurs’ insurance premiums depended on it, but from that date a fixed amount will be applied - 7,500 rubles.

An increase in the minimum wage will affect all payments calculated on its basis, which will also be increased proportionally.

insurance contribution rates for pension provision are 22% of income; for some areas of activity it is even lower. Its size will not change next year. Rates for health and social insurance will be the same 5.1 and 2.9% . The general rate is 30% and will not change until 2020. The amount of fixed contributions will increase by 4,395 rubles and amount to:

• 26,545 rubles to the Pension Fund.
• 5,840 rubles for medical insurance.

The maximum amount will increase in 2020 :

• 1,021,000 rubles for pension insurance.
• 815,000 rubles in case of temporary disability.

As the maximum amount of insurance premiums increases, the payments that can be received as maternity and sick leave also increase. Their size in 2020 will be limited to 61,375 rubles per month, which is 3,500 rubles more than in the current year.

Pension for military pensioners in 2020

On October 25, at a government meeting, Vladimir Putin instructed to provide funds for the indexation of military pensions and salaries of active military personnel, which should take place on January 1, 2020. The increase will apply to former military personnel and persons equivalent to them.

The size of military pensions in Russia depends on the salary of military personnel, which should increase annually, but has not increased since 2013 due to a freeze. The growth of pension payments for the military occurs only due to changes in the so-called reduction factor . The decision to increase it is made annually by the Government of the Russian Federation. In 2020, the increase in payments for this reason was about 4%, with the coefficient increasing to 72.23% .

The latest news says that there will be no changes in the size of the reduction factor. Pensions will increase due to indexation of military salaries.

Note that military pensioners belong to the category of citizens who have the right to receive two pension payments at the same time : from the Ministry of Defense or the Ministry of Internal Affairs and insurance in the case when, after leaving service, they were able to earn the required length of service and an individual industrial complex for registration.

Those persons who managed to earn a civil insurance payment after leaving military service should expect an increase in military pensions from January 1, 2018 It will be increased from the beginning of the year by 3.7%.

What is the minimum pension in Russia from 2020

the minimum pension from January 1, 2020 remains controversial . According to the law, the amount of pension provision for a non-working pensioner cannot be below the subsistence level. Otherwise, a bonus is assigned, the task of which is to bring the amount of payment to the minimum wage level.

The living wage for a pensioner from 2020 is planned to be set at 8,703 rubles . Given the projected amounts of pension benefits based on the results of indexation, some of the payments will not reach this level. And first of all, this will affect social benefits.

The Government has been discussing for quite some time the need to bring pension payments and the minimum wage to the subsistence level . The new law is expected to come into force in 2020. However, today it remains in the status of a project, while the Pension Fund reported on the allocation of 100 billion rubles for additional payments to those individuals whose payments will be below the subsistence level.

According to experts, the state will be able to eliminate this conflict at the current level of inflation and the growth of benefits, at best, no earlier than 2020.

Conclusion

1. The increase in insurance pensions in Russia in 2020 has been postponed from February to January. Indexation is scheduled for 3,7%;
2. Social payments will be indexed according to the schedule on April 1, the growth will be 4,1%;
3. EDV and other social payments will increase on February 1 at the inflation rate;
4. The retirement age will be increased only for civil servants;
5. The indexation of pension payments for pensioners who continue to work will remain frozen. It is possible to remove the restriction on pension points during recalculation, which is currently in effect at around 3 IPC ;
6. The minimum wage from 2020 will be 85% of the monthly minimum wage , and from 2020 - 100%;
7. The minimum pension in 2020 should be no less than the subsistence level for a pensioner. This will probably not be implemented again, since the latter is planned to be set at 8,700 rubles , which exceeds part of the projected social payments;
8. Military pensions will increase from January 1, 2020.
9. Military retirees should also count on a planned increase in their second insurance benefits.

Source

Who received pension increases in 2018 and by how much?

Since the amount of pension benefits depends on the rank in which the serviceman retired, the amount of indexation in monetary terms will be different.

Approximate calculations of actual payments, depending on rank, are given in the table.

Table 1. Approximate amount of payments

Important! The calculated data in the table is given for reference.

The actual amount of payments also depends on other factors that influence the estimated amount of accruals.

It’s easy to calculate how much your allowance should have increased on your own. To do this, it is necessary to multiply the amount of payments in 2017 by 1.04, which will give an idea of ​​​​the real amount of the increase in military pensions in 2020.

What pension increases affected the military in 2020?

In addition to the targeted indexation of military pensions, some pensioners in this category were also affected by other changes that are regulated by acts affecting the increase in payments to civilian pensioners.

From April 1, 2020, social payments were increased by 2.9%. This increase was given to retired military personnel who became disabled during service or as a result of grass received during service. The amount of the supplement in this case depends on the group and category of disability.

Table 2. Amount of disability supplement

Material on the topic: How to apply for disability benefits.

In addition, traditionally, veterans of the Great Patriotic War received one-time payments in the amount of 10,000 rubles on Victory Day.

The amount of one-time benefits for military personnel who were discharged due to unsuitability as a result of a military injury was also increased. Despite the fact that the corresponding Government Resolution No. 238 was signed in March 2020, payments can be received by military personnel who were written off as a result of injury, starting in January of this year, in the amount of:

• RUB 2,562,112.32 – military personnel who served under a contract;
• RUB 1,281,056.16 – conscripts for military service, as well as reservists, the civilian population during training camps.

How are pensions for military personnel formed?

Military pensions for military personnel are assigned to persons who served:

• in the Ministry of Defense;
• in the state fire-fighting organization; in internal affairs bodies;
• in organizations and bodies of the penal system;
• in the authorities for control over the circulation of psychotropic substances and narcotic drugs.

Pensions for military personnel are:

• for length of service;
• for the loss of a breadwinner to family members, if a military or military pensioner has died;
• on disability.

If a person applies for a disability pension, he is required to additionally provide a certificate from an expert medical commission, which establishes one of 3 groups.

In the process of applying for a pension, a serviceman is required to submit a report addressed to the commander of the structure where the soldier served. For this purpose, there is a specially prepared form on which the fact of receiving an early pension is indicated. Personal data (full name, military rank, telephone number, as well as legal and actual place of residence) must also be indicated there.

Benefits will be accrued from the funds calculated for the pension. They depend on the serviceman’s age, marital status and status. For example, if a military man has received a long-service pension, he may qualify for the following allowances:

• 1st disability group upon reaching 80 years of age receives a 100% bonus;
• For participants in combat operations, the pension increases by 32%, if they have reached 80 years old - then 64%;
• for one disabled person - 32%, for 2 disabled people - 64%, if more than 3 disabled people - 100%.

If a person with disabilities independently receives a pension, then all allowances are canceled. Former military personnel have the right to apply for an old-age pension, in addition to a long-service pension.

To do this, you need to take into account an insurance period of at least 5 years, an age of 60 years and the presence of a previously assigned pension. In order to receive a second pension, it is necessary to provide the following documents to the Pension Fund employees:

1. Passport. 2. Certificate of pension payments. 3. SNILS. 4. Certificate of income. 5. Work record book.

A survivor's pension is accrued when the family is left without the care of a breadwinner - a military man. This type of pension can only be applied for by a disabled citizen, namely: a pensioner parent, a disabled person, a relative who is raising grandchildren, children or brothers of the deceased, as well as children under the age of majority.

The pension can be received within 3 months after the official dismissal of the deceased. A disability pension can be received by those who were seriously injured during service or if the serviceman's health deteriorated three months after the end of service. Disability may occur for the following reasons:

• injury;
• injury during service;
• illness while performing official duties; contusion.

The amount of the pension will depend on the group that is appointed by the expert medical commission. Additional payments can be received by pensioners who are 80 years old, people who have disabled family members and WWII participants.

Increase in mixed pensions

Pensioners who, in addition to military service, have civilian work experience, can apply for an insurance pension under the following conditions:

1. The minimum insurance period in the civil service is 9 years.
2. Registered in the pension insurance system and has a minimum number of accrued pension points - 13.8.
3. Reached the generally accepted retirement age.

It should be taken into account that in accordance with the ongoing pension reform, the retirement age and the number of required points will increase annually.

More details about the second pension in the video:

To receive a second social benefit, a retired military personnel can:

1. Apply for an old-age pension at the territorial department of the Pension Fund of the Russian Federation at your place of residence.
2. Officially get a job and receive a salary, in addition to pension payments.

In the first case, the pensioner can count on indexation of the social part of the accruals.

For working military pensioners, an annual increase in payments is provided due to an increase in pension points. The latest increase to 235 rubles. was produced automatically from August 1, 2020.

Revision of the conditions for assigning military pensions cannot be avoided

“A revision of the conditions (of pensions) most likely cannot be avoided, but the complete abolition of pensions for military personnel is a completely extreme option. Our law enforcement agencies have considerable weight, and they will certainly do a lot to preserve pensions,” says Nikita Isaev, director of the Institute of Contemporary Economics.

“I hope that a balanced solution can find understanding among employees and management of all law enforcement agencies. The military are people who, first of all, care about the good of their country. Now this benefit consists of making the serviceman’s social package more targeted, taking into account the serviceman’s opportunity and desire to begin a civilian career, as well as more fully taking into account the financial situation of military personnel and members of their families,” concludes Nazarov.

“In its pure form, the severance pay scheme is not used in most countries. However, the current Russian scheme is also not very widespread, when a military pension is assigned immediately upon dismissal from the armed forces with a certain length of service, without any connection to the age of the serviceman, his ability to work in a civilian profession and financial situation,” Nazarov clarifies.